International ETFs dominate net new flows to the category. Of the $20 billion that has flowed to ETFs so far this year, $13 billion has gone to international ETFs. And of the money that has gone to international ETFs, the iShares MSCI EAFE exchange-traded fund has captured 35% of the flows.
“This may be the story of the year so far in the ETF business,” said Jim Wiandt, editor of the Journal of Indexes. “It’s clearly a frontal assault aimed at the core of Barclays’ Global Investors’ revenue stream.”